Tompkins Financial Corporation (TMP) SEC Filings & Earnings Calls

Noninterest income declined 46.7% YoY due to sale of insurance subsidiary, though core fee income grew modestly.

“Noninterest income totaled $12.6 million for the third quarter of 2026, down $11.0 million, or 46.7%, from the third quarter of 2025. The decrease was primarily attributable to an $11.3 million decline in insurance revenue resulting from the sale of our insurance subsidiary”

Cost of interest-bearing deposits increased 3 bps QoQ, indicating slight funding cost pressure.

“The cost of interest-bearing deposits of 2.10% for the third quarter of 2026 was up 3 basis points from the prior quarter” · word for word

Nonperforming loans increased

“Total nonperforming loans and leases $ 52,548 $ 47,940 $ 52,491” · word for word

Unrealized losses on securities portfolio

“The available-for-sale debt securities portfolio had net unrealized losses...of $26.8 million compared to net unrealized losses of $9.3 million at December 31, 2025.” · word for word

No material risk signals; presentation highlights stable performance.

“Presentation shows consistent profitability and loan growth.”

Decline in noninterest income due to sale of insurance subsidiary; reliance on net interest income for growth.

“Noninterest income down 41.7% primarily due to $9.6M decline in insurance revenue from sale of Tompkins Insurance Agencies.”

Increase in nonperforming assets

“Total nonperforming assets of $51.7 million at March 31, 2026 were up $3.5 million or 7.3% compared to December 31, 2025.” · word for word

Geographic concentration in New York and Pennsylvania

“The Company’s loan and lease customers are located primarily in the New York and Pennsylvania communities served by its subsidiary bank.” · word for word

Departure due to health reasons may indicate personal risk but appears orderly.

“stepping away from his current role as President of the Bank due to personal health considerations”

Decline in noninterest income due to sale of insurance agency (TIA) in Q4 2025; revenue stream reduced.

“The decrease in noninterest income is mainly a result of a decrease of $11.6 million in insurance revenue when compared to the first quarter of 2025, due to the sale of TIA in the fourth quarter of 2025.” · word for word

Credit Loss Provision Increase

“Provision for credit loss expense $11,534 $6,611 $4,339”

One-time gain from insurance agency sale may not be repeatable; balance sheet restructuring involved realized loss on securities sale.

“Pre-tax gain of $188.2M from sale of TIA; pre-tax loss of $78.7M on sale of AFS debt securities.”

Deferred compensation obligations increase, but no material near-term cash flow impact disclosed.

“DC SERP contributions are annual and vest over time; no immediate payout required.”

Credit deterioration in commercial real estate

“The increase in provision expense for the year-to-date period compared to the same period in 2024 was mainly due to the partial charge-off of $4.7 million related to one commercial real estate relationship totaling $18.1 million, during the second quarter of 2025.” · word for word

Rising classified loans

“Loans internally-classified Special Mention or Substandard were up $33.1 million, or 29.8%, compared to December 31, 2024.” · word for word

Expense growth outpacing revenue growth in non-banking segments

“Noninterest expense for the three months ended September 30, 2025 was up $233,000 or 5.8%, compared to the same period in 2024, which was primarily due to an increase in affiliate service charges and technology expense.” · word for word

CRE credit concentration risk

“The increase in provision expense for the first quarter of 2025 was largely the result of a specific reserve for one commercial real estate relationship based on an updated appraisal received at the end of the quarter.” · word for word

Nonperforming loan increase

“Total nonperforming loans and leases of $71.1 million at March 31, 2025 were up $6.0 million or 9.2% compared to December 31, 2024.”

Allowance coverage decline

“The ratio of the allowance to nonperforming loans and leases was 85.85% at March 31, 2025, compared to 111.06% at December 31, 2024.” · word for word

CRE credit concentration risk

“During the second quarter of 2025, the Company recorded a partial charge-off of $4.7 million related to one commercial real estate relationship totaling $18.1 million, for which there was a specific reserve of $4.2 million.” · word for word

Net charge-off spike

“Net charge-offs for the three and six months ended June 30, 2025 were $5.3 million and $6.0 million, respectively, compared to net charge-offs of $509,000 and $737,000 for the same periods in 2024.” · word for word

Realized loss on securities sale reduces near-term earnings; strategic repositioning may improve future yield.

“pre-tax loss of approximately $79.5 million on sale of $565M securities.” · word for word

Credit quality deterioration in commercial real estate

“The increase in provision expense for the year-to-date period compared to the same period in 2024 was mainly due to the partial charge-off of $4.7 million related to one commercial real estate relationship totaling $18.1 million, during the second quarter of 2025.” · word for word

Rising classified loans

“Loans internally-classified Special Mention or Substandard were up $33.1 million, or 29.8%, compared to December 31, 2024.” · word for word

Concentration in commercial real estate

“Commercial real estate loans and commercial and industrial loans totaled $3.6 billion and $1.0 billion, respectively, and represented 56.8% and 16.6%, respectively, of total loans and leases as of September 30, 2025.” · word for word

Provision expense increased 13.6% YoY, indicating potential credit quality normalization.

“Provision expense for Q3 2025 was $2.5 million, up from $2.2 million in Q3 2024.”